Recorded RBI impact
License cancellation
License cancellation · Fresh imposition
Published by RBI
11 Sept 2004
Case Brief
On July 27, 2004, the Reserve Bank of India cancelled the Certificate of Registration granted to Ashoka Safe Deposit Vault Company Limited, Nagpur, which had earlier been known as Nagpur Credit Card & Lease Investment Company. The cancellation was issued under Section 45IA of the RBI Act, 1934. As a result, the company is no longer permitted to transact the business of a non-banking financial institution.
Why RBI Acted
The Reserve Bank of India cancelled the certificate of registration granted to Ashoka Safe Deposit Vault Company Limited (formerly Nagpur Credit Card & Lease Investment Company) under Section 45IA of the RBI Act, 1934. The release states that the company was registered for carrying on the business of a non-banking financial institution and, following cancellation, it cannot transact that business.
Operating Impact
Ashoka Safe Deposit Vault Company Limited cannot carry on NBFC activity any longer. This is a complete regulatory shutdown of its permitted non-banking financial institution business, affecting the company directly and any customers or counterparties relying on its NBFC operations.
Regulatory Basis
- Section 45IA of the Reserve Bank of India Act, 1934
- clause (a) of Section 45IA of the Reserve Bank of India Act, 1934
Action Facts
- Primary Impact
- License cancellation
- Order Date
- 27 Jul 2004
- Effective From
- 27 Jul 2004
- Entities Affected
- 1
- Entity Role
- Primary
- Entity Type
- NBFC